City of Goodyear, Arizona
For Immediate Release: Tuesday, September 21, 2010
Huge economic impact from hundreds
of Sub-Zero jobs locating to Goodyear
GOODYEAR, ARIZ. (September 21, 2010) Sub-Zero, Inc., the leading manufacturer of American-made luxury refrigeration, freezers and wine storage units, announced Monday night at a Goodyear Special Council Meeting that they will be bringing approximately 388 jobs to Goodyear beginning in late 2011.
Madison, WI-based Sub-Zero is making a capital investment of approximately $68 million in the acquisition, improvement and equipping of the 440,000-square-foot Palm Valley 303 building it is purchasing from Sunbelt Holdings at Indian School and Cotton Lane in Goodyear. Tenant improvements to the building will begin in 4th quarter 2010.
In late 2011, about 288 jobs will be relocated to the new Goodyear plant from Sub-Zero's current facility in West Phoenix. Sub-Zero is expected to add approximately 100 new jobs in the next seven years to the Goodyear facility in addition to those coming from the Phoenix plant.
The economic impact to the local economy of the net increase of 100 positions in Goodyear over and above those being relocated from Phoenix is expected to be more than $218 million, according to an economic analysis by ESI Corporation commissioned by the City.
"We are elated to have such a well-known and highly reputable company as Sub-Zero in our community," stated Mayor Jim Cavanaugh. "We look forward to so many well paying jobs and the incredible fiscal impact they will have on our economy."
The 165,000-square-foot Phoenix facility will remain open. Recently the company announced that jobs would be transferred from its Wisconsin plant to Arizona beginning in late 2011. Both the Phoenix and Goodyear facilities will benefit from the Wisconsin job relocations. The manufacturing of two product lines will be transferred from Wisconsin to Goodyear.
According to the economic analysis, the overall effect of Sub-Zero's relocation and consolidation in the Valley based on both existing and expected new jobs is $1.7 billion in total economic impact over the next seven years.
According to Goodyear City Manager John F. Fischbach, "The acquisition of the Palm Valley 303 building is expected to act as a catalyst for the future development of the 1600-acre Palm Valley 303 Business Park." This park is forecasted to generate up to $26.1 million per year in revenues for the City of Goodyear at build-out, according to an economic analysis commissioned by the developer in 2008.